Telefunken buys Renesas Electronics's U.S. fab

The sale of Renesas Electronics America's semiconductor wafer fabrication facility in Roseville, California to Telefunken Semiconductors International LLC is now complete. The deal was announced by Renesas Electronics Corp., its subsidiary Renesas Electronics America Inc. and Telefunken Semiconductors GmbH & Co. KG.

As part of the strategies decided through its 100-Day Project announced on July 29, 2010, Renesas Electronics has been implementing various measures to improve manufacturing efficiency by promoting larger wafers, finer process nodes and production concentration. In line with these measures, the company decided to sell Renesas Electronics America's facility in Roseville, California, to Telefunken Semiconductors International. Telefunken was searching for a new manufacturing facility to expand its semiconductor business.

Telefunken intends to utilize the 200mm (eight-inch) line at the Roseville factory to manufacture its own analog/mixed-signal, HV products and products for its strategic foundry partners.

Telefunken also entered into a supply agreement with Renesas Electronics for manufacturing services at the Roseville factory. Under this agreement, Telefunken will manufacture products without interruption at the Roseville facility intended for Renesas Electronics' current customers, using the same high-quality level of production and service.

Further, Renesas Electronics announces that they still remain fully committed to meeting customers' requirements through its Quality Assurance Center at the Roseville facility to continue its customer support in the North American and European markets.

Telefunken is looking to expand the manufacturing capacity of the fab to increase wafer production, as well as bring in key technologies to offer broader manufacturing capabilities to its customers.